Tokenized Stocks Cross $1B as Ondo Finance Leads Growth

Key Insights:

• Tokenized stocks surpassed $1 billion in TVL, with Ondo Finance dominating the sector with a 58.56% market share.
• Ondo tokenized equities like NVDAon and GOOGLon launched on Binance, expanding 24/7 access for crypto investors.
• ONDO price remains in a downtrend despite adoption growth, with a potential 18% drop if the descending triangle breaks lower.

Tokenized stocks celebrated a major milestone after surpassing $1 billion in total value. Ondo Finance emerged as the leading protocol tokenizing stocks, with a 58.56% market share, and managing $604.5 million across 202 assets.

The sector’s total TVL soared to $1.03 billion, up 9.21% in the last 30 days, while total tokenized RWAs excluding stablecoins have reached $26 billion. Ondo has outpaced rivals like xStocks at 23.81% and Securitize at 9.43%, thanks to regulatory smarts and liquidity plays noted in a Foresight Ventures report.

Ondo Finance Dominates 58% Share of Tokenized Stocks Market

Data from RWA.xyz shows Ondo Finance commanded the tokenized stocks arena. It has so far launched assets like tokenized Circle Internet Group at $58.4 million and Alphabet Class A at $51.4 million.

This overwhelming dominance stems from early bets on architecture that lock in liquidity. This means it is currently the go-to RWA platform for investors chasing exposure in real-world assets. Overall, the protocol has tokenized 1,952 stock assets total, turning traditional finance (TradFi) companies into digitally tradable assets.

The $1 billion on-chain threshold was a win fueled by Ondo and xStocks forming a two-horse race. This surge aligned with tokenized U.S. Treasuries topping $11.13 billion, a signal that RWAs are no longer a hidden niche.

Investors are watching closely as the liquidity flywheel spins, though regulatory hurdles have kept new players sidelined.

Binance Launch Takes It Mainstream

Adding to its win, Ondo Finance has taken its tokenized assets into the crypto mainstream. It is achieving this through the just-announced Binance launch, listing multiple assets. They included NVDAon, TSLAon, SPYon, QQQon, PLTRon, CRCLon, IAUon, SLVon, BABAon, and more.

Binance rolled out a $500,000 tokenized gold securities trading competition that will run from 9 to 23 March. The goal is to draw investors and traders to trade Ondo tokenized stocks like GOOGLon and NVDAon.

This move was aimed at boosting accessibility, allowing crypto investors to trade tokenized stocks round-the-clock on a top exchange.

Ondo Finance Price Eyes 18% Drop Despite Bullish Sentiment from Traders and Whales

Meanwhile, ONDO finance crypto remained stuck in a downward trend despite the good news of growing adoption. ONDO price was up 1.59% on Tuesday, and it traded at $0.2546, far from its all-time high of $2.14.

Over the last 171 days, Ondo Finance traded in an aggressive downward trend. It hovered below the 50-day simple moving average (SMA), shattering expectations of a recovery.

Moreover, the price action appeared to be forming a descending triangle, a bearish market structure. If ONDO breaks lower, it could drop to $0.19, an 18% decline.

The relative strength index (RSI) hovered at 45 at press time. However, it was on an uptrend since early February. This signaled that there was significant accumulation even though the price struggled to sustain an uptrend.

Futures Traders Turn Bullish on ONDO Despite Bearish Chart Pattern

According to CoinGlass, Crypto Derivatives Visual Screener shows that futures traders were preparing to long ONDO. Traders were previously heavy on shorts, but Open Interest (OI) has been rising after the recent Ondo tokenized stocks news, with the L/S ratio increasing to 1.0203.

This suggests that traders anticipate a bullish ONDO price breakout. While descending triangles are bearish, technical analysis is usually a game of probability.

Descending triangles typically have a 62% chance of breaking to the downside and a 38% chance of reversing the trend. When they do break higher, it often is an aggressive breakout.

The bullish sentiment from traders stems mainly from retail, as CoinGlass Long/Short ratio data showed. Retail traders on Bybit were extremely bullish on ONDO compared to whales on the same platform, with their L/S ratio hitting 2.97.

Whales on OKX were bearish on the asset, even as ONDO whale positions on Binance increased. This signaled that smart investors on the latter exchange were positioning for a bounce.

The mixed sentiment suggests that there was still a lot of uncertainty regarding Ondo price prospects. Nevertheless, Ondo’s growing dominance in the tokenized stocks and RWA segment suggests that its native token may benefit in the long term.